Highmark purchases Gateway Health Plan

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Highmark, an independent licensee of Blue Cross Blue Shield, recently completed its purchase of Gateway Health Plan, a leading managed care organization, for a nondisclosed amount from Mercy Health, a subsidiary of Trinity Health.

Terms of the agreement also were not disclosed. The company previously held a 50 percent ownership stake.

Gateway Health was founded in 1992 through a partnership between Highmark and Mercy Health.

“Through our Medicaid and Medicare programs, Gateway Health has long focused on coordinating health care that goes beyond doctors and medicine to deliver whole person care,” Karen Hanlon, Highmark Health COO and Gateway Health interim president and CEO, said. “With this agreement, we can now fully leverage Highmark’s innovative Living Health model to deliver a more coordinated, personalized, technology-enabled experience for our members.”

Gateway Health will makes use of Highmark’s innovations and programming to better address behavioral health and socio-economic challenges for more than 355,000 members across Pennsylvania, Hanlon said.

Gateway Health consumers will have the option of selecting Medicaid products branded Blue Cross and/or Blue Shield and Highmark Wholecare Medicare, the new trade name for Gateway Health and its products.

Highmark serves more than 6 million members in Pennsylvania, Delaware, West Virginia and New York.